International Business Machines (IBM) is expected to report Q2 earnings after the market close on Monday, July 19 with a conference call scheduled for 4:30 pm ET.
GuidanceThe consensus estimate is $2.58 for EPS and $24.17B for revenue, according to First Call. The technology bellwether is anticipated to have benefited from an overall uptick in corporate spending.
Analyst ViewsStifel remains comfortable with their above consensus FY10 EPS estimate of $11.35, guidance was $11.20-plus, and continues to believe numbers will migrate toward their estimate or higher over the course of the year. Reasons: conservative guidance, the 2H10 hardware upgrade cycle, leverage from Q1 cost actions, and a weakening dollar. Underlying enterprise IT fundamentals continue to improve as evidenced by recent reports from Accenture (ACN), Oracle (ORCL) Infosys (INFY) and Intel (INTC) -- although the pace of recovery in Europe and the strength of the dollar are known headwinds. Management in May committed to double digit CAGR growth in EPS over the next five years driven by a combination of 5% revenue growth, margin expansion and share repurchases. Even a strong earnings beat, however, may not prompt massive movement in IBM shares.
No comments:
Post a Comment